The Global Mineral Race

The Minerals Behind Modern Life

Whether it is a phone sitting in one's pocket or an electric vehicle parked in a driveway, one of the most important technologies in the world relies on a material that most people rarely think about. Minerals like lithium, cobalt, nickel, graphite, copper and rare earth elements are called minerals because modern industries need them and it is hard to find something else to use instead. As countries move toward using electric vehicles, renewable resources and batteries the demand for these critical minerals keeps growing every single day.

The demand for global lithium increased by almost 30% in 2024 and the demand for rare earth elements has grown by 6-8%. The demand for key energy minerals has continuously grown in the past couple of years with the expansion of batteries, electric vehicles, power grids, wind turbines, and solar energy.

The sole purpose of these minerals isn’t just clean energy; copper is needed for electrical infrastructure, while rare earth elements are used in powerful permanent magnets that are found in electric motors, wind turbines, data centers, and defense technology. Lithium is important in particular for rechargeable batteries, and this demand can more than triple by 2040.

As demand rises, countries are increasingly competing to secure access to said resources, creating a new global economic race–not for oil or natural gas–but for minerals that determine who controls the entire future of technology.

A Concentrated Supply Chain

The problem isn’t finding the minerals; the real problem is making sure that they can be mined, processed, and delivered reliably. Much of the world’s supply chain for rare earth minerals is concentrated in a small number of countries, creating an economic vulnerability for nations that depend on imports.

The average share of the world’s top three refining countries for key energy minerals increased from 82% in 2020 to around 86% in 2024, where the top three countries accounted for 77% of mined supply across key energy minerals.

Rare earth elements demonstrate this concentration especially clearly. In 2024, China made up around 60% of global mined production of magnet rare earth. China was behind around 91% of global refined output and 94% of permanent magnet production. These magnets are necessary for products ranging from electric vehicles to wind turbines.

This concentration creates a major economic risk. As political tensions, natural disasters, technical problems, or trading restrictions interrupt production, countries around the world will feel the effects. The issue became apparent in 2025 as China introduced export controls on multiple rare earth elements. The restrictions disrupted supplies of permanent magnets and have caused some automakers outside China to reduce production or temporarily shut down operations.

Securing critical minerals isn’t just an environmental or industrial issue; governments may now see having access to minerals as an issue of economic security.

The Race to Secure the Future

Countries are now attempting to reduce their dependence on individual suppliers by developing mines, expanding domestic processing, forming international partnerships, and investing in recycling. The goal isn’t to just produce every mineral domestically but to create supply chains that can withstand disruptions.

When trying to develop a new mine or processing facility, years of time and an enormous amount of investment would be required. Even when new resources are discovered, turning them into usable materials requires complicated infrastructure and a certain specialized technology.

Competition for global minerals will be a major player in shaping the global economy in the coming decades as countries that secure reliable supplies of critical minerals may gain an advantage in various industries such as electric vehicles, batteries, renewable energy, advanced manufacturing, and technology. Countries that remain heavily dependent on a small number of suppliers may face higher prices and production disruptions.

The race for critical minerals ultimately shows how something buried beneath the ground can influence the entire global economy. As the world becomes more dependent on advanced technology and clean energy, the countries that control the resources behind those technologies will hold an increasingly important economic position. What may look like a simple piece of rock or metal could become one of the most valuable resources in the global economy.